China’s Profits and Losses from Currency Intervention, 1994-2011Pacific Economic Review
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AbstractChina's currency policy has been criticized for its apparent pursuit of mercantile advantage by artificially stimulating exports, with potential adverse effects on other economies. While China's currency policy may have positive output effects, there may be additional profits or losses. This paper computes the annual and cumulative accounting profits from currency intervention since 1994 when China began its currency intervention. It is shown that profits initially were positive but since 2007 China has lost a massive amount from the currency market.
Copyright OwnerWiley Publishing Asia Pty Ltd.
Citation InformationHailong Jin and E. Kwan Choi. "China’s Profits and Losses from Currency Intervention, 1994-2011" Pacific Economic Review Vol. 19 (2014) p. 170 - 183
Available at: http://works.bepress.com/ekwan-choi/14/